1982 IMF conditionalities May Repeat Itself- Umar Kunateh
Mr. Umar Yakubu kunateh, General Manager for Home Radio Network Limited, operator’s of Home Radio 99.7fm has alluded to the fact that 1982 economic conditions is most likely to repeat itself.
He made this suggestion whiles speaking on Sunrise Upper West super morning show program today, Wednesday July 6, 2022.
The decision of the President directing the Finance minister Ken Ofori Atta to start negotiations with the international monetary fund ( IMF) for an economic bailout may not be the economic panacea to our current economic woes.
“This is not the first time Ghana has seek support from the IMF. If we succeed in our negotiations, this will be the 17th time Ghana has been to the international monetary fund. Has any of the last 16 solve our problems?
In 1982, there was an economic crunch, government went to IMF for bailout and the baby conditionalities were horribly.
1. Devalue the Ghanaian cedi
2. Removal of subsidies from social services
3. Sales of state enterprises. Eg Canery factory in Bolgatanga, state fishing corporation and many others. How many of them survive after the sales?
4. Retrenchment, over 300,000 workers lost their jobs”, the General Manager stated.
The full economic implications of going to IMF is to get some money and Policy credibility. The cash you get from IMF is not for roads, schools and others. it gives you a certain stability to continue to service your debt and thats all.
Yakubu Umar Kunateh
Home Radio Network
